Multifamily loans for 5+ units: purchase, value-add and refinance.
Bridge and permanent debt for apartment buildings, sized to your business plan.
Up to 75% LTV on a purchase. Loans up to $25M.
Get your same-day term sheet
A few quick questions. No credit pull.
What is the loan for?
Tap one.
Program snapshot*
- Loan size
- $150K-$25M
- Max LTV
- 75% purchase, 70% refi
- Term
- 5, 7 or 10-yr fixed
- Bridge
- 12-36 months
- Property
- 5+ units, mixed-use OK
* Subject to underwriting. Terms as of November 2026.
See loan detailsWhat you get
- Stabilized and value-add buildings
- Permanent loans: 5, 7 or 10-yr fixed
- Bridge loans: 12-36 months
- Bridge-to-permanent structures for value-add deals
- Cash-out refinance up to 70% LTV
- Recourse and non-recourse options
- Mixed-use up to 30% commercial
Term sheet
Same day
Who it's for
- Buying or refinancing a building with 5 or more units
- Renovating and re-leasing a building over 12 to 36 months
- Pulling cash out to buy the next building
How multifamily loans are sized
Buildings with 5 or more units are commercial property. Lenders value them on income, not comparable house sales.
The key number is net operating income (NOI): rent collected, minus vacancy and operating expenses.
Operating expenses are taxes, insurance, repairs, management and owner-paid utilities. The loan payment is not part of NOI.
The loan is the lower of two limits: leverage (up to 75% on a purchase) and cash flow.
For cash flow, NOI must cover the yearly loan payments with a margin. Permanent loans usually need a debt service coverage of 1.20 to 1.25 or more.
Value-add deals not yet stabilized start on a bridge loan sized on the business plan. They refinance into permanent debt once occupancy and rents are up.
12-unit example
- Purchase price
- $1,800,000
- Gross rent (12 units x $1,250/mo)
- $180,000
- Less 5% vacancy and 40% expenses
- -$77,400
- Net operating income (NOI)
- $102,600
- Cap rate on price
- 5.7%
- Leverage limit (75% LTV)
- $1,350,000
- Cash-flow limit (1.25 DSCR at 7.25%, 30 years)
- $1,002,673
- Loan: the lower of the two (56% of price)
- $1,002,673
Illustrative rate and coverage. Real limits use the quoted rate and the lender's coverage test. Subject to underwriting.
Bridge or permanent debt?
Permanent (term) loans fit stabilized buildings: 5, 7 or 10-yr fixed. The rate is fixed for the term. Early payoff usually carries a step-down prepayment penalty.
Bridge loans fit value-add plans: 12-36 months, often with renovation money held back and drawn as units are turned.
Plan the exit on day one. A refinance at stabilized NOI pays off the bridge.
What to send for a term sheet
- Trailing 12-month operating statement (T-12)
- Current rent roll
- Purchase contract or current loan details
- Business plan and renovation budget (value-add)
- Sponsor resume and real estate schedule
- Entity documents
From request to funded
Send the deal
T-12, rent roll, business plan and sponsor bio.
Term sheet
Bridge or permanent pricing, the same day.
Close
Bridge in 7-14 days. Permanent debt in 45.
Frequently asked questions
What counts as multifamily?
Residential buildings with 5 or more units. 1-4 unit properties use residential programs such as DSCR loans.
Mixed-use buildings qualify with up to 30% commercial space.
How much down payment do I need?
25% or more, plus closing costs and reserves. Purchase leverage goes up to 75%.
Do I need multifamily experience?
No. Newer sponsors can qualify with a strong deal, a capable property manager and enough liquidity. Experience improves terms.
Are these loans recourse?
Both options exist. Non-recourse usually needs a larger loan and standard carve-out guarantees.
Can foreign nationals buy apartment buildings?
Yes, through a U.S. entity. Expect lower leverage and more reserves than for U.S. sponsors.
Sources
Related
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